Dana tries to sweeten GKN driveline deal

GKN has been defending itself against a hostile takeover from Melrose since early January. It has accused Melrose of having a short-termist approachGKN

Dana, the US automotive group in talks to buy GKN’s driveline division, is to seek a secondary listing in London as it bumps up its efforts to win over shareholders in the engineering group.

The Times understands that the Ohio-based maker of axles and driveshafts could outline the move this week, as the battle for control of GKN enters the final stage. A secondary listing by Dana, which has offered cash and shares for Driveline, could help some of GKN’s British investors who cannot hold US equities.

News of Dana’s move comes as Melrose, the hostile suitor of GKN, attempts to shore up its own bid by offering to plug most of the pension schemes’ deficit with £1 billion from its own resources.

GKN has…

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